Sports marketing theories, concepts and techniques.

Some of the theory behind sport marketing is outlined below. Just click the relevant topic areas to read about each subject area.

A lot more will be added here soon, so please visit again to see how the site has developed.

The origins of marketing in sport	Buy your sport, music, arts and theatre tickets online at Ticketmaster
The nature of sport marketing
The characteristics of sport marketing

Apart from the above links to the theory on this website, you can also click the following links to read about sports marketing theory and concepts on some other interesting and relevant websites. More external links will be added soon and don't forget to visit the case study section!

American Marketing Association Marketing Journals From American Marketing Association	Here you will find links to AMA marketing journals, other marketing journals, other related journals and books. A great resource of marketing and academic journals including links to the Journal of Sport Management (see a direct link to this publication below).
Bolton Wanderers Football Club Marketing Theories according to BWFC From Bolton Wanderers Football Club	Here are some references to 'marketing theories' on the BWFC website. BWFC is known for its sound backroom system that supports the players, so it is no surprise that the club's marketers also place emphasis on getting things right
International Journal of Sport Communication From Human Kinetics, Inc.	This refereed and multidisciplinary quarterly journal aims to promote the understanding and advancement of the relationship between sport and communication.
Journal of Sport Management From Human Kinetics, Inc.	The official journal of the North American Society for Sport Management, incorporates thought-provoking editorials, research articles, and reviews that examine a number of areas as they relate to the management, governance, and consumption of sport.
LA84 Digital Archive LA84 Digital Archive Books & Reports LA84 Digital Archive Periodicals & Series LA84 Publications & Resources From LA84 Foundation	The LA84 Foundation's growing digital collection now contains more than 300,000 pages, stored in over 45,000 PDF files. Digital resources include academic journals, books, sports magazines of the late nineteenth and early twentieth centuries and Olympic publications. All of the digital publications are available at no cost to website visitors. The following articles/papers are a sample of what is on the site: AAF / ESPN Children & Sports Media Study (2001) PDF Boys to Men: Sports Media Messages About Masculinity (1999) PDF Children and Sports Media (1999) PDF Gender in Televised Sports (2005) PDF Gender Stereotyping in Televised Sports (1994) HTML Portrayal of Race, Ethnicity and Nationality...(1995) HTML
Sport Management Review From Sports Management Association of Australia and New Zealand	Sport Management Review is the official journal of the Sport Management Association of Australia and New Zealand. The review looks at sport from a management perspective.
Sport Management Association of Australia and New Zealand (SMAANZ) From SMAANZ	The principal aim of SMAANZ is to encourage scholarly enquiry into sport management related research and to provide the opportunity to communicate results from this research to the broader sport management community.

The origins of marketing in sport

In order to gain an understanding of the nature of sport marketing, it is a good idea to briefly explore the relevant background of sport and marketing. In fact sport goes back a very long way indeed and historical accounts credit the Greeks, the Chinese, or Egyptians as the originators of sport.

In common with sport, marketing also has very long pedigree and since both can be dynamic, exhilarating and very rewarding, it is no surprise that marketing and sport became intertwined very early on in the proceedings. Sport marketing can be tracked back to promoters in ancient Greece and Rome, although the term 'sports marketing' emerged in more recent times (it is repuited to have been first coined by Advertising Age in 1978).

Initially the term 'sport marketing' was used to describe the activities of consumer and industrial product and service manufacturers, who were increasingly using sport as a promotional vehicle. However, we now refer to the practice of using sport as a vehicle for marketing products or services, as 'marketing through sport'. Therefore as a corporate sponsor the Carlsberg brewery undertakes this particular component of sport marketing, because markets its beer through sport.

On the other hand, a professional cricket team (or any other team, sportsperson or sporting event) that aims to market its own sport as the main product engages in another type of sport marketing. We call this other component of sport marketing the 'marketing of sport'.

The following definition of sport marketing was adapted from a standard definition of general marketing by Mullin et al (2000):

"Sport marketing consists of all activities designed to meet the needs and wants of sport consumers through exchange processes. Sport marketing has developed two major thrusts: the marketing of sport products and services directly to consumers of sport, and marketing of other consumer and industrial products or services through the use of sport promotions."

Source: Mullin et al (2000)

The above definition highlights the importance of 'sport consumers' and raises the issue of 'sport consumption'. These two particular terms highlight that there are various different types of involvement with sport, from participation as a player, or as an official such as a referee or umpire, through to watching, viewing, listening, reading or buying sports equipment, or even collecting sports memorabilia.

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The nature of sport marketing

The conventional view of the marketing concept is based on the argument that to survive and prosper, organisations must focus on and fulfil the needs of their customers. By focusing on what customers need, organisations can also create competitive advantage by differentiating themselves from the competition.

Although sport marketing is a particularly unique form of marketing and it does differ significantly from other types of marketing in many ways, in order for sport marketing to succeed, it too must be based firmly on accepted marketing principles. These accepted marketing principles and the marketing concept are outlined and commented on in every standard marketing text and this generic marketing theory is fairly easy to comprehend. However, one of the difficulties faced by those who work in the field of sport marketing, is that it is not always easy to relate standard marketing theory to the sport business.

If there is any doubt about the difficulties that are involved in the field of sport marketing, simply consider your favourite sports team, such as a particular football or rugby team. Then with your favourite team in mind, spend a few minutes thinking about the possible answers to some of the generic marketing-related questions listed below:

• What is the core product or service?
• Who are the customers?
• Who are the key stakeholders?
• Which stakeholders are the most powerful and influential?
• Who are the main competitors?
• How can the team be differentiated (in marketing terms) from the competition?
• What is the relationship between the team, the management and the management company?
• Which of the following is the most important element in the view of most of the supporters - is it the business, the team itself, one 'star' player or a few star players in the team, the results achieved by the team, the entertainment value provided by the team, or the beautiful game as a whole?

Even such a brief and relatively superficial reflection on just a small number of general marketing issues, should be sufficient to demonstrate that sport marketers really do have to work in a challenging environment. Of course marketers in many organisations can legitimately claim to have a complex mix of shareholders that need to be satisfied, or they can identify a number of challenging difficulties to face because they must market an intangible product. Maybe they can outline some particularly taxing problems associated with a range of complex competitive issues. However, sport marketers may have to overcome all of these challenges and they often have to cope with even more pressures and difficulties.

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The characteristics of sport marketing

Sport demonstrates certain service characteristics, such as perishability and intangibility - in other words sport cannot be simply 'bottled' and sold, or kept in stock for sale at a later date. Some further challenging though interesting factors that relate to sport and certain areas of sport marketing are:

• Simultaneous production and consumption. Sport cannot be 'stocked' for later use and sold at a higher or lower price sometime in the future, because if tickets are not pre-sold the opportunity to benefit from ticket sales will be lost. Sport events can be recorded and sold later though in the form of DVDs or videos, although the recorded product is cannot really be categorised in the same way as the live product.
• Consumers are also producers. An uncommon feature of sport is the link between consumption and the production of the sport product. Spectators or 'crowds' help to make the product what it is. Would the product be as appealing if the stadium or venue was empty with no atmosphere, as opposed to being full of tens of thousands of good spirited, excited, colourful and vocal fans?
• Simultaneous competition and cooperation. Many sport-related organisations simultaneously compete and cooperate. For example, while remaining fiercely competitive on the pitch and in others areas of operation such merchandising, Premiership teams such as Manchester United will also need to cooperate and work the other teams in the league and with other competitors in Europe such as Real Madrid. Simply put - sometimes they have to work together and communicate and coordinate activities, because they need each other. Annihilating all the competition is not an option, because without the competition the organisation would not be able to survive.
• Unpredictability and inconsistency. Try as they may, chairmen, managers, coaches, players and even sports psychologists cannot guarantee a consistent product. The many factors that are involved in competitive sport and the obvious fact that people are not machines all mean that there will always be a degree of unpredictability and inconsistency in sport, both in relation to team and individual performance. Great Britain's double gold medal winner Kelly Holmes illustrated the positive and therefore very welcome nature of this unpredictability in sport, when she beat the odds and entered Olympic folklore by winning the 800m and 1500m double at the 2004 Athens Olympic Games. To demonstrate the negative side of this unpredictability, in the same year top Spanish football team Real Madrid packed full of 'Galacticos' (including the likes of David Beckham, Zinadine Zidane, Luis Figo and Ronaldo) failed to perform to their own high standards.
• Consumer diversity. Sport-related organisations often need to satisfy a diverse range of customers or consumers. A top team such as Liverpool FC will have a dedicated core of supporters who aim to attend as many live matches as possible. Some relatively 'local' supporters will have season tickets and will attend home matches frequently, while some supporters will only attend home matches at the Anfield stadium infrequently (perhaps because they live at the other end of the country as far away as Cornwall). Some 'fans' may never visit Anfield, but they may be numerous and loyal fans that watch Liverpool play live on Sky TV. Liverpool FC also has supporters located all over the world, including many enthusiastic overseas supporters in Thailand who watch their team regularly on TV.
• Competitor diversity. In addition to the obvious direct competition that must co-exist to enable the organisation to survive, there are usually many other competitors to consider. Some competitors are far less obvious than the direct competition posed by opposing teams, but they still compete very strongly for the consumer's pounds or Euros. Indirect competitors include other entertainment opportunities and leisure activities (the cinema), hobbies or pastimes and socialising in all it's various different forms such as 'eating out'.
• Potential large add-on costs. The price of the 'sport product' such as a match ticket may be relatively small compared to the other costs that may have to be incurred by consumers. For example, besides purchasing a £20 match ticket, a fan may need to purchase expensive travel to and from the stadium or venue, face possible parking costs, food and drink before during and after the match or event. Of course the add-on costs will increase significantly if a family visit is involved, when some team merchandise may well also be purchased.
• Revenue complexity. The revenue obtained from the delivery of the core sport activity may be relatively small, compared to the funds receivable from the sale of merchandise, sponsorship, advertising and the media such as Sky TV.
• Media dichotomy. Very few participants in other industrial sectors can claim to appeal to the media, as much as the major competitors in the sport industry. Such media interest and attention provides both an opportunity and a threat to sport businesses and to many of the key people involved. Few people would dispute the fact that contemporary sports icons such as David Beckham have benefited from the media exposure they have obtained, because of their success on and off the field. At the same time, the power of the media has also posed a significant threat to the Beckhams' quality of life. In such cases the influence of the media can extend across the boundary between player and team, affecting both the people and the organisations positively or negatively.
• Management challenges. Because of their celebrity value and income level, it can be very difficult to manage and control the complex people and image issues. Football club managers such as Manchester United manager Sir Alex Ferguson, ex-Leeds United manager David O'Leary and ex-Leicester City manager Mickey Adams have all found that the actual and alleged activities of their high profile players off the field can pose a major challenge. Such challenges and even unsubstantiated and totally inaccurate claims concerning player behaviour can have a significant effect on the image of the football club (in March 2004, three Leicester City players were arrested on sexual aggression charges. The Leicester City board refused Adams' offer to resign and the charges against the players were later dropped).
  

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